🧾 What Is Japan’s Resident Tax? Do Foreigners Need to Pay It?

 


Introduction

If you live and work in Japan, you may have heard about Resident Tax (住民税, juuminzei). But what is it exactly? And do foreign residents have to pay it too?

In this article, we’ll explain what the Resident Tax ishow it’s calculated, and whether foreigners need to pay it — in simple English.


✅ What Is Resident Tax?

Resident Tax is a local tax paid to your city and prefecture based on your income from the previous year.

It is separate from:

  • Income Tax (所得税): Paid to the national government

  • Resident Tax (住民税): Paid to local governments

📌 You pay Resident Tax to the city/ward where you lived on January 1st of the current year.


💡 Do Foreigners Have to Pay It?

✅ Yes, foreigners who live in Japan are required to pay Resident Tax, just like Japanese citizens — if they meet certain conditions.

You must pay if:

  • You have lived in Japan as of January 1st

  • You had income in the previous calendar year

  • You are registered as a resident (住民票 holder)

💬 Even if you leave Japan in April, you still pay for the full year if you were here on January 1st.


📊 How Much Do You Have to Pay?

Resident Tax usually equals:

  • 10% of your taxable income from the previous year
    (About 6% to the city + 4% to the prefecture)

Example:
If your income last year was ¥3,000,000 (after deductions),
→ Your Resident Tax would be around ¥300,000 the next year.


📅 When Do You Pay Resident Tax?

MethodWho PaysHow
Payroll deductionCompany employeesMonthly from June to May (next year)
Lump-sum paymentFreelancers / unemployed / students with income4 times a year (June, August, October, January) via bills

📨 Tax bills are mailed by your city hall around June every year.


⚠️ What If You Don’t Pay?

  • You may receive warning letters or be charged penalties

  • Your visa renewal may be affected

  • In some cases, your bank account may be frozen

💬 Tip: If you leave Japan, consult your city office and settle your Resident Tax before departure.


🧠 Common Questions

Q1. I came to Japan in January. Do I pay tax this year?
→ No. If you didn’t live in Japan in the previous year, you don’t owe Resident Tax for this year.

Q2. I worked only part-time. Do I still pay?
→ Maybe. If your total income exceeds the exemption limit (about ¥1 million), you will owe tax.

Q3. Can I pay in installments?
→ Yes. The city usually sends 4 payment slips. You can also pay at convenience stores or online.


✅ Summary

TopicDetails
Who pays?All residents with income (including foreigners)
Based on?Your previous year’s income
RateAround 10%
Payment startJune every year
WarningMust pay even if you leave Japan mid-year

✉️ Final Tips

If you're a foreigner working or studying in Japan, Resident Tax is an important part of your responsibilities.
Make sure you:

  • Keep your address updated

  • Understand how and when to pay

  • Settle your tax before leaving Japan

Need help reading your tax bill or paying it? Visit your local 市役所 (city hall) — they often have foreign language support.

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